PANews reported on February 4 that the Berachain Foundation released its network white paper. According to the white paper, Berachain is a new EVM-compatible Layer 1 blockchain that aims to align the value of the network with the value of the applications built on it through the Proof of Liquidity (PoL) mechanism. Through its core innovation of Proof of Liquidity (PoL), it changes the incentive mechanism of traditional Proof of Stake (PoS) and links the rewards of validators with the application needs on the network.
The economic model adopts a dual-token model, BERA is used for staking and trading, and BGT is used for governance and rewards (non-transferable). The issuance of BGT is closely related to the staking of BERA, and BERA can be exchanged by destroying BGT. In addition, the PoL mechanism controls inflation by adjusting the validator's Boost to ensure the security and decentralization of the network.
